MANAGING THE REDUCTION OF ENVIRONMENTAL IMPACT OF … · 2017-05-18 · AGH University of Science...

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AGH University of Science and Technology Krakow Poland Krakow , Poland MANAGING THE REDUCTION OF ENVIRONMENTAL IMPACT OF COAL USE TOWARDS SUSTAINABILITY Dr. Leszek PREISNER, Dr. Tadeusz PINDÓR Dr. Leszek PREISNER, Dr. Tadeusz PINDÓR Department of Economics, Finance and Environmental Management Faculty of Management Assessing and Managing Cumulative Effects Calgary, Alberta, Canada 6-9 November 2008

Transcript of MANAGING THE REDUCTION OF ENVIRONMENTAL IMPACT OF … · 2017-05-18 · AGH University of Science...

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AGH University of Science and TechnologyKrakow PolandKrakow, Poland

MANAGING THE REDUCTION OF ENVIRONMENTAL IMPACT

OF COAL USE TOWARDS SUSTAINABILITY

Dr. Leszek PREISNER, Dr. Tadeusz PINDÓRDr. Leszek PREISNER, Dr. Tadeusz PINDÓR

Department of Economics, Finance and Environmental ManagementFaculty of Management

Assessing and Managing Cumulative Effects

Calgary, Alberta, Canada • 6-9 November 2008

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University of Science and TechnologyKrakow PolandKrakow, Poland

World’s largest countriesWorld s largest countries with diversified non-renewable mineral resources:

1 USA1. USA2. China PR3. Russia 4. Canada5. Australia6. South Africa7. Poland8. Mexico 9. India9. India10. Chile

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University of Science and TechnologyKrakow PolandKrakow, Poland

The sustainable development strategyThe sustainable development strategy for coal global sector,

based particularly on clean coal technologiesbased particularly on clean coal technologies could be the best solution

for environmental challenges.

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University of Science and TechnologyKrakow PolandKrakow, Poland

The issues discussed in this paper concern 1980 2006The issues discussed in this paper concern 1980-2006, a period that has been influenced by two factors:

1 the idea of sustainable development was evolving and was1. the idea of sustainable development was evolving and wasfinally crystallized by improvement of its definition,concept, rules, methods and instruments;

2. access to objective and comprehensive data on the globalcoal sector, collected mainly by such institutions as theCommittee for Cleaner Fuels World Energy Council, thegyUN Economic Commission for Europe, the EuropeanAssociation for Coal and Lignite (EURACOAL), theInternational Energy Agency, the EU Directorate-Generalfor Transport and Energy, the World Coal Institute, andBritish Petroleum.

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University of Sience and TechnologyKrakow PolandKrakow, Poland

Proved coal reserves in selected countriesProved coal reserves in selected countries and its R/P ratio, 2006 and 2007

TOTAL WORLD ill tTOTAL WORLD mill. tons years

2006 909064 147

2007 847488 133

The R/P ratio for coal is calculated for 147 years, takingThe R/P ratio for coal is calculated for 147 years, takinginto account the production level in 2006. It should be noted thatpredictions made in 1999 indicated that the R/P ratioof coal global reserves was for about 200 yearsof coal global reserves was for about 200 years.This situation requires saving the coal reserves.

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I 2005 th t t f l b l f dIn 2005, the structure of global sources of secondary energy generation in all forms was as follows [%]:

crude oil - 34.3coal - 25.1coal 25.1natural gas - 20.9combustible renewables and waste - 10.6nuclear - 6.5hydro - 2.2other sources - 0.4

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Relatively the coal share in electric energy generationRelatively, the coal share in electric energy generation was very high in 2005.

The global structure of primary energy sources usageThe global structure of primary energy sources usage was as follows [%]:

l 39 8coal - 39.8natural gas - 19.6hydro 16 1hydro - 16.1nuclear - 15.7crude oil - 6 7crude oil - 6.7renewable sources - 2.1

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International trade in hard coal is a key factor in the international segment of the y gglobal coal sector, which includes international co-operation in the following areas:

• standardization of parameters of coal reserves, and use of this instrument for the deposits’ balance criteria;

ti l ti d d t ti f l• prospecting exploration and documentation for coal reserves;• saving the financial capital from various sources to finance mining

activities with long-term return periods and a high level of risk;• realization of investment projects including objects of technical

infrastructure, mines and coal-enriched mining companies;• exploitation of coal mineral deposits;• coal transportation from mining regions via exporting harbours to the customers;

l i ti f h i d h fl f l ll b t ti t• logistics of harmonized huge flows of coal, usually between continents;

• classification and standardization of the coal as a trade product;

• creation of optimal coal mixtures for energy plants and the metallurgical industry; • creation of new technologies for coal use, characterized by economic

efficiency and environmental safety.

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The development of international co-operation during all economic stagesco-operation during all economic stages of coal reserves, including coal trading,

in 1991 created a situationin 1991 created a situation where hard coal attained the position

of the main mass product pin international sea transport.

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45

25

30

35

40

]

Hardcoaltotal

St

5

10

15

20[% Steamcoal

Cokingcoal

0

5

1980 1990 2000 2005

[years]

coal

The average rate of export increase for the whole hard coal sector is influencedby the very high dynamics of international trade in steam coal, starting from a lowlevel and significantly lower dynamics of hard coal sales but it should be stressedlevel and significantly lower dynamics of hard coal sales, but it should be stressedthat, since 1980 coking coal international markets constituted a very importantsegment on the global sale.

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The statistical data presented below indicatesThe statistical data presented below indicates stabilized export production of coal in Canada, Columbia,

Venezuela, Australia, Indonesia, and … Poland.

Share of exports in hard coal production in selected countries, 1980, 1990, 2000 and 2005 [%]

Country 1980 1990 2000 2005Canada 75.7 82.2 94.1 94.4Columbia 68 2 93 0 94 2Columbia - 68.2 93.0 94.2Venezuela - 81.8 88.7 89.9Australia 58.4 65.1 78.4 79.6Indonesia - 40.0 72.2 73.1Poland 16.5 19.2 22.5 20.7

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In 2005, the demand for steam coal imports exceeded the levelof 568 mill. tons, which means an import rate of 12.9%.

100

120

60

80

ons

of to

ns]

0

20

40

[mill

io

0Japan Taiw an South Korea United Kingdom Germany

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Calgary, Alberta, Canada • 6-9 November 2008

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I 2005 th l b l ki f t l t [ ill t ]In 2005, the global ranking of steam coal exporters [mill. tons] was the following:

100

120

140

tons

]

40

60

80

mill

ions

of

0

20

esia

alia

ic o

fth a

e’s

ic o

fa an tio

n

mbi

a

nite

des

land

[m

Indo

ne

Aus

tra

Rep

ubl

Sou

tA

frica

Peo

ple

Rep

ubl

Chi

na

Rus

siFe

dera

t

Col

um

the

Un

Sta

te

and

Po

Assessing and Managing Cumulative Effects

Calgary, Alberta, Canada • 6-9 November 2008

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The highest level of imports [mill. tons] has been presented g p [ ] pon figure below:

90100

304050607080

llion

s of

tons

]

0102030

Japan South Korea India Brazil Taiwan People’sR bli f

[mil

Republic ofChina

From the point of view of evaluating the trends seen in coking coal international markets, mostimportant is the progression of increased coal imports to the People’s Republic of China, noticedimportant is the progression of increased coal imports to the People s Republic of China, noticedsince 2003, and resulting in the huge dynamics of demand for coke by the metallurgical industry incontinental China. At this point, it should be underlined that, since 2002, the People’s Republic ofChina was a net exporter of coking coal.

Assessing and Managing Cumulative Effects

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In 2005, among the main suppliers of coking coal [mill. tons] g pp g [ ]in international markets there are presented on figure below:

140

80

100

120

s of

tons

]

20

40

60

[mill

ions

0Australia Canada United States

This very high indication of coking coal export concentration exceeding the level of 77%This very high indication of coking coal export concentration, exceeding the level of 77% –due to the share of the three main exporting countries listed above – is still characteristic inthe international trade of coking coal.

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As many experiments have showed – the heat receivedfrom a high-temperature reactor can be used for massproduction of hydrogen in the way of water thermolysisproduction of hydrogen in the way of water thermolysis,without carbon dioxide emission.

Hydrogen is an energy carrier and will also bea basis for energy production as well as even

f fa basis for hydrogen economy in the future, because itcan be used for very many chemical processes,including coal gasificationincluding coal gasification.

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I d t i l d ti f h d i th th dIndustrial production of hydrogen using other methodsrequires an energy supply, which comes from coal and theburning of other fuels This means that fossil fuels will beburning of other fuels. This means that fossil fuels will beused, and consequently carbon dioxide and othergreenhouse gas emission will also be produced.g g p

The rapid growth in prices of crude oil and natural gas inrecent years has meant that liquid fuels produced fromece yea s as ea a qu d ue s p oduced ocoal (Coal to Liquid – CTL) has received new attention. Aparticular growth of interest in this respect appears incountries that posses large coal mineral resources, buthave no sufficient crude oil reserves.

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The European Commission, within the Fifth, Sixth and SeventhFramework Programmes as well as EUROATOM, also financed andstill is financing a programme for development of gas technologiesfor high-temperature nuclear reactors, which focus on severalprojects grouped within the High–Temperature Reactor –Technology Network (HTR – TN).ec o ogy et o ( )

It should be emphasized that the process of coal conversion intosynthetic crude oil is endo-energetics. To produce one litre of fuel ity g pis necessary to use 3-6 kg of coal. This also raises the problem ofsignificant carbon oxide emission. An optimal solution appears to bea process based on coal use – of clean coal technologies – only asa resource material for processing but not as an energy sourcea resource material for processing, but not as an energy source.A nuclear reactor could be such an energy source.

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The synergy process of coal use andThe synergy process of coal use and high-temperature nuclear reactors

could be particularly importantcould be particularly important for countries like Poland.

This could allow for rational economic coal reserves use in Poland, and at the samereserves use in Poland, and at the same time facilitate successfully meeting the required changes of the primary energyrequired changes of the primary energy

sources structure.

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The problems analyzed in this paper allow formulation of manyThe problems analyzed in this paper allow formulation of many conclusions which also take into account the circumstances and

criteria of sustainable development. The most important conclusions are presented below:The most important conclusions are presented below:

1. analysis of the volume of proved coal reserves and conditions for coal exploitation qualify the statement that coal supply could be stable even over a very long time period;

2. the geographical location of coal mineral resources reduces the risk of supply monopolization;

3. re-orientation of prospecting exploration and documentation of coal mineral resources help p p g p pto significantly increase the coal reserves base characterized by environmentally-friendly parameters;

4. selective investments undertaken for use in coal deposits characterized by low contents p yof sulphur and ash, results in significantly enlarged assortment of commercial products offered in the domestic and international coal markets;

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5. the dynamics of coal trade observed in international markets since the beginning of the 1970s is still higher than world coal sales;

6 international coal markets generated slight and flexible information about changes in coal6. international coal markets generated slight and flexible information about changes in coal demand structure at two levels: qualitative and geographical;

7. a stabilized share of coal as a primary energy source in the processes of total secondary energy generation as well as electric energy qualifies the statement that adjustment processes in the world coal sector are adequate to changes of demand, mainly resulting from implementation of sustainable development principles;

8. the synergy of coal use and nuclear techniques will result in reaching two important goals: more economical use of coal reserves, and reduction of environmental threats mainly a reduction in greenhouse gas emissionsand reduction of environmental threats, mainly a reduction in greenhouse gas emissions.

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